The impending IPO of Twitter might do a lot to put some heat under companies and Social Networking sites such as Facebook and Google Plus. The impending IPO of Twitter is at a time when Social Network sites have been doing rather well. Finally after a rough start to Public company life, Facebook shares are above water and heading north and LinkedIn has seen shares now at three times their initial flotation price. Twitter couldn’t have chosen a better time – however what does it mean for other sites?
Well Twitter will now have plenty of cash to make acquisitions and its not the only kid around when it comes to social networking. That means that Twitter can now buy and afford to innovate and take more risks in the social space – so expect it take up the gauntlet and add new features, companies and products to it services. Plus FB is not the only company that will be chasing revenue advertisers which might mean more competition for the very same advertisers.
Facebook shares have been heading down from their all-time highs and many analysts think this is a result of the news of Twitter’s IPO which is set to value the company at between 10 and 15 billion US dollars. However on the upside more coverage of the social space and social networks might mean that the whole sector as a whole continues to do well and we see the likes of Twitter and Facebook as fully fledged technology companies.
There just isn’t the buzz around Google’s attempt in the social space. Face it, Twitter, LinkedIn and Facebook are all socially focused public companies with the impending pressure that goes with that. Google is going to have to do more to ensure that it maintains its focus on the social space and sees social as an actual thing rather than just an additional channel to sell its advertising.
Somehow Google Plus just hasn’t captured the public imagination and somehow I think it might be be it seems it is an appendage to Google rather than a whole new platform and this psychology is denting its inroads into making real traction amoungst the social crowd.